₦airaland Forum

I keep wondering if Caanaland as a whole is wealthier than the Catholic Archdiocese of Lagos!.

plaindealer:




I love PMB and I'm supporting the right man

We are the best and the most powerful TECH GIANT in Africa.

To God be the glory.

You're bloody glorious fool. Even your personal lord and saviour doesn't know shit about technology. He's not even aware of the NG_Hub in Lagos

All these propanganda against BUA just to give Dangote a leeway to continue his evil monopolistic agenda

BUA is the only corporation standing the way of Dangote for a full blown monopoly

Sterope:
Do you understand yourself?

Get the Bleep out of my mention. Dangote asslicker

I don't give a Bleep if Dangote has done more backward integration programme (BIP) than BUA. All i know is that whenever that monopolist is involved in any industry, it's difficult to tell if it will be affordable for the common man, judging from the way he hiked the prices of cement, sugar and salts despite the fact that these items are produced locally and should be cheaper than imported ones, but it's not. Hence my support for BUA.
Dangote needs to be challenged and brought down at all cost. he only serves his selfish interest and the annoying part of it all is that he wants the market all for himself.
Please open our ports, let's import these commodities, it's obvious imports are a whole lot cheaper than the locally manufactured ones. Thumps up BUA for giving Dangote a good challenge. he can't have it all for himself. He can't!!!

maureensylvia:
Haha
Marriage actually brought me to Kano, so far so good it's going fine

That explains everything. Ordinarily, i wouldn't wanna be in that state. They are too backward in thoughts

Spiff20:
Kano!!!! Bless up. Yankaba, Kofa Wanbai, Kurmi, Kwari Market , Yankura, Dawanau all legit. France Road lit too. Kano is the commercial city of Nigeria no doubt.

Which yeye commercial city are you talking about?

maureensylvia:
Yes I live in kano

How do you manage to live there? I can't imagine myself living in Kano

How many times will they complete the project. Since GEJ era. Nawa oo!!

lekki1444:
now here is why your point is mute , London is close to a thousand years old, tokyo is maybe close to 400 years old, lagos is less than 50 years old. you are the one making the mistake here. why are you comparing a young man with an older man ? compare lagos with his mates and his mates are other states in nigeria

Even if we go by that metrics, then Johannesburg is light years ahead of you in terms of infrastructure and quality of life. Would you also say Johannesburg is older than Lagos too?

oloyedewaris:
The question i will ask you is, on what criteria are you judging, because i don't understand why Lagos cannot be compared with the cities you mentioned. Lagos that is the economic capital of West Africa, even statistics show that in 20 years time Lagos will be the third largest mega city. my brother stop being sentimental and get your facts right

My statistics is based on the poor infrastructure that will support the 25million (estimate) inhabitants living in Lagos. Lagos is the economic capital of the west Africa region by sheer virtue of the size of her population. Her population is the only thing going for it in terms of business. Population means market. Market is place to sell your goods and services. That's only the reason why Lagos is a megacity. In terms of infrastructure, access to quality health and services, Lagos is far cry compared to other megacities across the world.
She should stop forming local champion with her sister states

Grgton:
true, but population don't actually measure economic strength ? Anambra, Rivers, Kano (Niger republic migrants) has population, does it make them, developed like lagos?? .... No!

Rivers should be the next economic hub based on population and huge oil and gas activities. But unfortunately it's just like a Lagos, another upcoming shithole megacity infact, i might agree Lagos is a little better off than rivers. Anambra is trying but hasn't yet found a solid foothold

lekki1444:
whats your point ? wee you keep kwayet dia

My point is that that dude should stop measuring Lagos with other states. It's like a student in the University saying he's more educated than a student in Primary two. Lagos population makes it a huge market which draws businesses. Other state can't boost of that

Grgton:
lol but no state in Nigeria is behind Lagos in development! will you say Anambra or Akwaibom ??

Even akwa-ibom has better world class infrastructure than Lagos. Their problem is that they don't have the population yet to push up economic activities

lkillbrokehoes:
Lagos is just like another country in Africa, it's the only developing state in Nigeria while the rest are just shítholes

Lagos is far from development when compared with other megacities like Tokyo, Johannesburg, Shanghai and New York.
I've told you times and again. Stop comparing Lagos with other states. London does not compare herself with Birmingham. Tokyo does not compare herself with Ossawa. Those cities are the economic hubs of their respective countries. Lagos should be measuring dicks with her classmates not forming local champion with other sister state who's population isn't even up to 7million. Why Lagos is popular is because of her massive population nothing more. It's infrastructure is clearly below par when compared with other cities around the world that share the population metrics with her. In short, Lagos is a huge shithole

This idiotic Ugwuanyi ass-licker is back with another job. Has your yeye crycry governor restored water supply in Enugu?

TSBO:
No we are not YET producing enough raw material to be self-sufficient, but that's the target.

BUA is a part of the Sugar Masterplan. With this new refinery, they have found a way to expand their operations without any incremental contribution to backward integration efforts. Just imagine that the other companies follows suit, before you know what's happening, the Masterplan would die off. Not saying the Masterplan is the best plan, but at least, they all agreed to and if it needs to be changed, then that should be done.

Also, it seems under the license that allows BUA to be in the Free Trade Zone, they can sell refined products from the factory in the domestic market if domestic prices are arbitrarily high. That may sound good for sugar consumers as it may put a restriction on the prices Dangote and FMN can charge. However, that means you have someone who is putting relatively little effort into the Masterplan curtailing the revenues of those who are putting in more effort.

Further to the last point, commodity prices can be very volatile, and in times when prices plummet, high cost producers can suffer. Just for the sake of explaining, let's say right now, raw sugar costs N10 in the global market (plus shipping and all) and costs N8 to produce domestically. If global prices fall to N5, domestic cost will likely remain at N8 (all other things being equal) cos production costs may have little or no correlation with sugar prices. On the other hand, the person who imports can reduce his price by N5 without feeling a pinch. Imagine what that does to domestic producers if such comes into the market.
This is just one side of the story though, the other side is that domestic producers, because they enjoy so much protection, can raise prices to absurd levels if they are allowed to, as long as it continues to lead to higher revenues

That bolded part is the main issue we must desperately avoid. Dangote has shown time and again that he's a monopolist who selfish and greedy

TSBO:
Na wa o. Except I missed it, I can't find one well thought out response to the original post. Just sentiments.

Nigeria does not grow enough sugar to meet demand. Therefore, most of the raw sugar input used by local refiners is imported.

A Sugar Masterplan was established so that we can develop domestic capacity to grow sugar instead of just importing. Now each of those three main refiners, Dangote, FlourMill and BUA, have a level of backward integration (sugar farming) they must reach and as they do, they are also given import quotas. If you meet your targets, you will likely get more room to import to make up what you have produced domesitcally. If you don't meet your targets, your import quota might be reduced. This is to encourage backward integration so that over time, we become self-sufficient WRT sugar.

According to the write-up, BUA's new refinery is primarily for exports; it's located in a free trade zone. So, it will primarily be importing raw sugar, refining and exporting. The concern noted by the industry expert is that due to its license from NEPZA, BUA can turnaround and sell it's product domestically if domestic prices are arbitrarily high (at this point, don't forget that the refinery will solely be using imported raw sugar; and yes, they will pay duty (60%) and levy (10%) if they sell domestically).

While it is a good idea to have someone that can stabilise local prices, the other players think this might be detrimental to the sugar masterplan, especially since, according to them, BUA has not really done well on that front. There should be full commitment to the Sugar Masterplan and a refinery in Nigeria that fully imports raw sugar may not be a step in the right direction and depending on whom you ask, might not show commitment by that refiner.

In summary, we all are still trying to achieve the Sugar Masterplan (I.e. reach self sufficiency in domestic production of raw sugar) and here you are creating a refinery that will only use imported raw sugar, and it's not like you are even doing well with the Sugar Masterplan. Also, it may be difficult to monitor that this sugar you are producing is not being sold in the Nigerian market.

I am neither for or against Dangote and Flour Mills but I guess it's rational for them to have misgivings in this situation.

On the other hand, the government can find ways to ensure BUA is more committed to local production and that they don't sell products from the new refinery in the domestic market.. If they can, it would cap what price others can sell at.. Not really a bad thing but it seems a bit unfair to others who are putting in more backward integration efforts.

Bleep you and your NSMP Policy of the federal government. That was how they began a similar policy in Cement with the ultimate aim making the product readily available and affordable in Nigeria. But it turns out that the local product is more expensive than the imported.
That's how they began a similar policy for rice, it turns out to be the worst. Now you folks are talking about sugar. Dangote sugar was initially sold at #50 in 2015, In just three years, it has skyrocketed to #200. This is a product that's supposed to be cheaper since it is refined locally.
Bleep you all government policy, it's like those policies are designed to hype inflation all the more.
If i were the government, we'll reverse all those goddamn policy and return it to free market enterprise. Anybody that wants to produce locally is free to produce and anyone that wants to import should do so. The market is big enough for everybody. Shikena!!

Boye33:
Finally, here comes a stiff competition for wicked and monopolistic dangote.
.

If not for Abdulsamad Rabiu strong northern roots and political connections, Dangote would have as usual frustrated him out of business, but today Rabiu is a Forbes billionaire.
.

I looking forward to BUA entering into the Cement market and break whatever left hegemony the Dangote establishment has on the nation.

.

I also look forward to when Nigerians would realise Dangote for the devil he is and attack his trucks nationwide. I wonder how many trucks he can protect.

He's already playing big time in the cement industry. He's the second largest producer of cement in Nigeria and he's already doubling his cement capacities in Edo, Sokoto and Adamawa. I'm definitely sure he'll crash the market price of cement. just watch it. He once stood against Dangote's monopolistic agenda

Dangote is truly mad!! This country's government keeps encouraging oglipoly(the extreme form of monopoly). How is it your business with what BUA is doing with his sugar refinery? afterall, he has a sugar plantation he acquired form government recently.

When we tell people that Dangote is an economic predators who uses his long legs in government to get whatever he wants unduly, some idiots here will be shouting "jealousy", "bad belle". it's become clearly obvious by the day that Dangote is purely a monopolist who is singlehandedly determining the price of good and services. And yet we have the Consumers Protection Councils(CPC) that can't do shit about this. it's a pity. Just wait for his refinery to be completed, you'll see what ripper that man will be.
Thank God for BUA that see the evil in what Dangote is trying to do and is tackling him head-on

Staphylococcus:
You are trying hard to sound brilliant. So Dangote happens to determine price for cement because he controls the largest price? Who thought you this economics? Does MTN being the largest network in Nigeria control prices? Or Glo and Airtel dont come with competitive rates. Your foolishness is trying to say Toyota controls market prices of cars cos it has the largest share of the market

Your economics teacher should be killed

It's obvious you aren't brilliant either. First of all, MTN leads the market but it's not dominant, hence that's why it doesn't seem to control the market prices. Secondly as idiotic as NCC may be under this regime, they've managed to control and regulate the telecom industry. That's why MTN or Glo no fit try rubbish. They'll just fine them with 1 million dollars.
If that sort of regulation that's in the telecom industry is what it is in Cement industry, I'm certain Dangote won't be this emboldened to try rubbish

Aconomist:
Cement is a undifferentiated product. Dangote would win any price war because he has deeper pockets. The only solution is to bring more companies into the industry or allow imports. Stop reasoning like a monkey.

That dude doesn't know 'jack' about economics 101. It's pointless explaining things to him. The funny thing is that Dangote wouldn't try these things in abroad and get away with it.

Krismas:
U see, u are stylishly stammering. U say Dangote control 60% of market shares? Then there is no better way to ruin him, than competitors lowering prices. It happened to Gala. Nothing stops the rest from producing a formidable front against him, Many of them were in the business b4 him. But u see, they are enjoyihg it.

It's every obvious you failed economics in WAEC. If not, you should know that, whoever controls the lion share in a market determines the price.
Those competitors don't have the market share to be able toe call the shots. Even if they did, they don't have the volumes to keep up.
If you are good observer, which i doubt. You'll notice that whenever Dangote invest in a new project, he likes to build so massively to the extent it can satisfy up to 80% of the country demands, you know why? Because he wants to call the shots, determine the price, he makes it so massive that future competitors won't be able to get any significant market share. That's why US has warned Nigeria about Dangote's economic malpractices.

PAWG:
We’re not stupid, weren’t we importing the product before?

As we’re importing fuel has it made the commodity cheaper?

On the contrary, you're very stupid. Long before they started this local production agenda, imported cements were quite cheap and affordable in the 90s

Staphylococcus:
And Ibeto, Lafarge and Ashaka are selling far cheaper shey!

You are not brilliant.

Why cant competitors crash price? Cos its not profitable

You are not smart. it's very obvious. the major reason why they can't cut their prices is because Dangote controls more than 60% of the market share. he determines the price. That's why he's regarded as a monopolist. Have you ever wondered why Dangote exited from the noodles market, the flour market, water business and the juice business? the answer is simple. they were other serious players in each of the aforementioned business.
Dangote likes to play in a business where he's clearly the market leader so that we can determine the price whenever he likes. This is a huge economic malpractices.
I guess you wouldn't understand this, you aren't that smart afterall

I kept saying it. That man is everything that is wrong with capitalism. If we operated in saner climes, he would have been long arrested for economic malpractices

No this is unacceptable. Nmandi Kanu has really overreached his bounds. The UK Government must extradite for criminal charges. We igbos are getting locked in a dangerous game. Kanu's rhetorics is gradually turning ESN into terrorist network

nice camera effects

4tomandchi:
2-1 win for city Iheanacho to hurt city by scoring first.

Bet wisely.

He ain't doing shit. He won't even be on the scoresheet

What's the program all about?

Well it's obvious. The Nigerian Army is incapable of defeating a small ragtag insurgents. We have lost the war against insurgency. That means if we're at war with another standing army, we'll be wiped out to oblivion.
Shame to the Nigerian Army and government as a whole